What happens if there is only a single appraiser for the Chop5 Salad Kitchen restaurant appraisal?

According to the 2024 Chop5 Salad Kitchen Franchise Disclosure Document, if there is only one appraiser for any reason, the appraised value of the restaurant will be the value determined solely by that single appraiser. This could occur if the parties jointly approve a single appraiser.

This situation could arise if the franchisor and franchisee agree to use only one appraiser from the outset, potentially to save on appraisal costs or expedite the process. However, it's more likely to occur if the initial process of selecting three appraisers is somehow disrupted, leaving only one available to complete the appraisal.

For a prospective Chop5 Salad Kitchen franchisee, this means the appraisal's outcome hinges entirely on the judgment of a single individual. If the franchisee doesn't agree with the appraiser selected, they could be at a disadvantage. It is important to note that the franchisee and franchisor equally bear the cost of the appraisal.

It would be prudent for a prospective franchisee to discuss with Chop5 Salad Kitchen under what circumstances a single appraiser might be used and what recourse they have if they disagree with the single appraiser's valuation. Understanding the criteria for selecting appraisers and the process for resolving disputes is also essential.